Nigerian govt approves ₦758bn bonds to clear pension liabilities – PenCom DG

The federal government has approved ₦758 billion in bonds to offset long-standing pension liabilities, including pension increases owed since 2007.

Omolola Oloworaran, the director-general of the National Pension Commission (PenCom), made this known on Thursday in Yola at a two-day sensitisation workshop on the workings of the Contributory Pension Scheme (CPS) for Employees and Pensioners in North-East.

Ms Oloworaran, represented by the Commissioner for Administration in PenCom, Alhaji Bello Abubakar, described the approval as a bold step by President Bola Tinubu to bring relief to vulnerable pensioners and restore confidence in the pension system.

She said the workshop formed part of ongoing reforms to enhance awareness and deepen understanding of the CPS among retirees and other stakeholders.

According to her, other key interventions under the reforms include pension increases for over 241,000 retirees, representing 80 per cent of those under the programmed withdrawal arrangement.

“The increases raised monthly payments from ₦12.15 billion to ₦14.83 billion, effective from June 2025.

“The commission has also eliminated waiting time for pension payments, ensuring that, since July 2025, retirees now access their benefits immediately after retirement.

“The proposed reintroduction of gratuity for civil servants, with a framework developed to restore gratuity benefits for federal workers under CPS, in line with Section 4(4) of the Pension Reform Act (PRA) 2014,” she said.

The PenCom DG explained that the initiative was aimed at further enhancing post-retirement benefits and improving the welfare of pensioners.

Ms Oloworaran stressed that the sensitisation workshop would help address misconceptions and build public confidence in the CPS while offering an opportunity for engagement, feedback, and trust-building with stakeholders.

Also speaking, Ekpo Nta, chairman National Salaries, Incomes and Wages Commission (NSIWC), represented by Chika Ochor, deputy director of Compensation, said the workshop would promote better understanding of the CPS and its benefits.

He said pension provides financial security in old age, enabling retirees to maintain their standard of living, reduce poverty, and avoid dependence on families and government.

Mr Nta added that the current administration had introduced far-reaching reforms in pension administration to ensure prompt and sustainable payment of retirees’ benefits.

In his remarks, Lanre Issa-Onilu, director-general, National Orientation Agency (NOA), commended PenCom and NSIWC for their collaboration in bridging knowledge gaps on the CPS and online enrolment processes.

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He said the Tinubu-led administration’s pension reforms would strengthen stakeholders’ confidence in government policies.

He reaffirmed NOA’s commitment to promoting national values, policy awareness, security consciousness, and disaster preparedness.

NAN reports that Pencom organised the workshop in collaboration with the National Salaries, Incomes, and Wages Commission (NSIWC).